Hilton Worldwide (NYSE:HLT – Get Free Report) and Jollibee Foods (OTCMKTS:JBFCY – Get Free Report) are both consumer discretionary companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, institutional ownership, earnings, risk, analyst recommendations, valuation and dividends.
Dividends
Hilton Worldwide pays an annual dividend of $0.60 per share and has a dividend yield of 0.2%. Jollibee Foods pays an annual dividend of $0.09 per share and has a dividend yield of 1.0%. Hilton Worldwide pays out 8.8% of its earnings in the form of a dividend. Jollibee Foods pays out 15.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
Profitability
This table compares Hilton Worldwide and Jollibee Foods’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Hilton Worldwide | 12.69% | -35.24% | 11.84% |
| Jollibee Foods | 3.16% | 14.04% | 3.55% |
Analyst Recommendations
This is a summary of current recommendations and price targets for Hilton Worldwide and Jollibee Foods, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Hilton Worldwide | 0 | 8 | 16 | 2 | 2.77 |
| Jollibee Foods | 0 | 1 | 0 | 0 | 2.00 |
Hilton Worldwide presently has a consensus price target of $355.13, suggesting a potential upside of 2.68%. Given Hilton Worldwide’s stronger consensus rating and higher possible upside, research analysts plainly believe Hilton Worldwide is more favorable than Jollibee Foods.
Insider & Institutional Ownership
95.9% of Hilton Worldwide shares are held by institutional investors. 2.7% of Hilton Worldwide shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Earnings & Valuation
This table compares Hilton Worldwide and Jollibee Foods”s gross revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Hilton Worldwide | $12.04 billion | 6.47 | $1.46 billion | $6.81 | 50.79 |
| Jollibee Foods | $5.31 billion | 0.46 | $189.17 million | $0.58 | 15.18 |
Hilton Worldwide has higher revenue and earnings than Jollibee Foods. Jollibee Foods is trading at a lower price-to-earnings ratio than Hilton Worldwide, indicating that it is currently the more affordable of the two stocks.
Summary
Hilton Worldwide beats Jollibee Foods on 14 of the 16 factors compared between the two stocks.
About Hilton Worldwide
Hilton Worldwide Holdings Inc., a hospitality company, engages in managing, franchising, owning, and leasing hotels and resorts. It operates through two segments, Management and Franchise, and Ownership. The company engages in the hotel management and licensing of its brands. It operates luxury hotels under the Waldorf Astoria Hotels & Resorts, LXR Hotels & Resorts, and Conrad Hotels & Resorts brand; lifestyle hotels under the Canopy by Hilton, Curio Collection by Hilton, Tapestry Collection by Hilton, Tempo by Hilton, and Motto by Hilton brand; full service hotels under the Signia by Hilton, Hilton Hotels & Resorts, and DoubleTree by Hilton brand; service hotels under the Hilton Garden Inn, Hampton by Hilton, and Tru by Hilton brand; all-suite hotels under the Embassy Suites by Hilton, Homewood Suites by Hilton, and Home2 Suites by Hilton brand; and economy hotel under the Spark by Hilton brand, as well as Hilton Grand Vacations. The company operates in North America, South America, and Central America, including various Caribbean nations; Europe, the Middle East, and Africa; and the Asia Pacific. The company was founded in 1919 and is headquartered in McLean, Virginia.
About Jollibee Foods
Jollibee Foods Corporation develops, operates, and franchises quick service restaurants. The company operates quick-service restaurants under the Jollibee, Chowking, Greenwich, Red Ribbon, Yong He King, Hong Zhuang Yuan, Mang Inasal, Burger King, Highlands Coffee, PHO24, Smashburger, Tim Ho Wan, Tortazo, The Coffee Bean & Tea Leaf, Yoshinoya, Milksha, and Panda Express names in the Philippines, the United States, Canada, the People's Republic of China, the United Kingdom, Italy, Spain, Vietnam, Brunei, Singapore, Saudi Arabia, the United Arab Emirates, Qatar, Oman, Kuwait, Bahrain, Indonesia, Costa Rica, Egypt, Panama, Malaysia, South Korea, Australia, and India. It also offers property leasing, manufacturing, digital printing, advertising, financial accounting, human resources, and logistics services. The company was incorporated in 1978 and is based in Pasig, the Philippines.
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